Critical Condition

A Tale of Two Health Bills

The LA Times has a piece on the House GOP health bill that highlights an important point. According to the CBO, the Republican proposal would lead to 7 percent lower premiums for those purchasing insurance as individuals in 2016. Premiums would go down for those insured by employers as well, although to a lesser degree.

This seems to make more sense than the Democratic approach, which will mandate the purchase of insurance, likely increase the cost of said insurance, and then provide expensive subsidies for those being forced to buy the insurance.

In the short run, CBO has found that the Deomocratic plans cover more people, although at far greater cost. Perhaps we should try encouraging people to purchase insurance by lowering premiums, as the Republicans call for, before mandating and subsidizing coverage, as the Democrats would do.

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